The S&P/ASX 200 rose 0.4% to close at 8,881 on Tuesday, as investor sentiment remained buoyant following the Reserve Bank of Australia's latest monetary policy decision. The central bank lowered its cash rate by 25 basis points to a two-year low of 3.60%—the third rate cut this year. The unanimous decision reflected signs of easing inflationary pressures and a cooling labor market. Market sentiment was further supported by news of an extended 90-day pause in US-China trade tensions. The extension was viewed as a step toward de-escalation, allowing more time for negotiations and reducing fears of renewed conflict. Banking stocks were among the gainers, with ANZ climbing 2.2% and Westpac rising 0.9% ahead of upcoming earnings later this week, while Commonwealth Bank edged up 0.1% before its full-year results on Wednesday. Elsewhere, Star Entertainment soared 23.6% - its best single-day performance on record - after agreeing to sell its 50% stake in a A$3.6 billion Brisbane resort.